How Strong Is Your Hotel’s Direct Booking Strategy Compared to OTAs?
Why it matters
OTAs are useful. They bring visibility, reach travelers in other countries and fill rooms on quiet dates. But OTA bookings usually come with a commission, and the guest relationship often stays with the platform. When a hotel depends too much on one or two platforms, it has less control over prices, guest data and marketing.
European data shows a clear trend. The HOTREC European Hotel Distribution Study 2024, based on 2023 data from 3,089 European hotels, found that direct channels were 50.9% of overnight stays in 2023, down from 57.6% in 2013, while the OTA share rose from 19.7% to 29.6%. The same HOTREC 2024 study found that the Booking group holds 71% of the OTA market for European hotels. Many small hotels depend heavily on OTAs: among European hotels with under 20 rooms, 27% get more than half their bookings through OTAs and another 27% get 30 to 49%.
How to check where you stand
- Do you know what share of your bookings came from direct channels last year?
- Is your price on your own website at least as good as on any OTA?
- Do you offer a clear benefit for booking direct, shown near your booking button?
- Do you collect contact details and consent from OTA guests during their stay, so you can invite them back?
- Is your Google Business Profile linked directly to your own booking engine?
How to improve step by step
- Measure your channel mix. Each month, record bookings and revenue by channel: website, phone, email, walk-in and each OTA. You cannot improve what you do not measure.
- Use OTAs on purpose. Treat OTAs as a way to reach new guests and fill difficult dates, not as your only sales channel. Decide which dates and room types you need them for most.
- Make your website the best place to book. Offer a price at least as good as elsewhere and a fast, mobile-friendly booking engine. Add a clear direct benefit, such as flexible cancellation, breakfast or a welcome drink.
- Connect Google to your booking engine. Make sure your Google Business Profile has a direct booking link. Ask your booking engine provider which Google connections it supports.
- Turn OTA guests into direct guests. During the stay, give excellent service and invite guests to join your mailing list with their consent. After the stay, send a thank-you message with a reason to book direct next time.
- Build a simple guest list. Collect emails from direct and returning guests, with permission. Send a few useful messages a year, such as seasonal offers or local events, rather than frequent promotions.
- Review and adjust every quarter. Compare your direct share with the previous quarter and the same quarter last year. Keep what works and change what does not.
How AI assistants see this
When travelers ask ChatGPT, Gemini, Perplexity or Google AI Overviews for a hotel, these tools may link to the sources they find most reliable. If your website clearly shows room types, prices, what is included and a working booking link, AI tools have an official place to send guests. If your website is thin or outdated, they may send guests to an OTA listing instead. A clear, complete website is now part of your direct booking strategy.
Common mistakes to avoid
- Showing a higher price on your own website than on OTAs, which teaches guests to book elsewhere.
- Trying to leave OTAs completely and losing reach before your direct channels are strong enough.
- Treating OTA guests as lost to the platform, instead of giving them a good reason to book direct next time.
Key takeaways
- OTAs are useful for reach, but a healthy share of direct bookings gives you more control.
- In Europe, direct channels have lost share to OTAs over the last decade, and many small hotels depend heavily on OTAs.
- A good price, a fast booking engine and a clear direct benefit make your website the best place to book.
- Every OTA guest is a chance to build a direct relationship for the next stay.
Frequently asked questions
Should a small hotel stop using Booking.com and other OTAs?
Usually not. OTAs help you reach new guests, especially from abroad. The goal is balance: use OTAs on purpose while growing your direct bookings over time.
What is the best way to encourage guests to book direct?
Offer a price at least as good as on OTAs, plus a simple benefit such as flexible cancellation or breakfast. Make the booking process fast and easy on a phone.
How can I turn OTA guests into direct guests?
Give great service, collect contact details with consent during the stay, and follow up with a thank-you and a reason to book direct next time. A guest who already knows you has a good reason to come straight to you.
Sources
- HOTREC and HES-SO Valais-Wallis, European Hotel Distribution Study 2024: https://tageskarte.io/fileadmin/Banner/HOTREC_Distribution_Study_2024_-_Germany_and_Europe_short.pdf
- HOTREC, press release on the European Hotel Distribution Study 2024: https://turob.com/assets/Genelgeler-Dosyalari-image/2024/HOTREC-Press-Release-Hotel-Distribution-Study-2024.pdf
